For over a decade energy choice in Maryland has allowed consumers to shop for competitive priced energy contracts for their homes and businesses. While electricity choice participation and familiarity has increased drastically over the last few years, gas choice awareness in Maryland has lagged behind. Due to recent rising default prices in the state’s largest gas utility, BGE, gas choice awareness is poised to finally grow.

BGE, who is both Maryland’s largest electric and gas utility, delivers gas to over 626,000 residential customers and another 43,500 commercial and industrial. As of September 2017, data obtained from the Maryland Public Service Commission website reveals that only 136,000 BGE gas residential customers were active gas choice customers purchasing gas supply from an alternative supplier. Customers who have not elected to shop for competitive gas rates have the ability and option to do so at any time, unlike in other states where there is a limited shopping period each year.

The more than 78% of BGE gas customers who have not switched gas suppliers are paying the BGE gas price to compare. Price to compare prices are a variable rate that change each month and can be volatile leaving customers unable to properly manage their monthly energy expenses. For example, BGE reported that their gas price to compare in February of 2018 was $0.5068 per therm, a 22.44% increase in the February 2017 price to compare. In 2017 BGE gas customers saw a low of $0.3877 in March compared to a high of $0.5503 in May on the price to compare rate. The 42% price difference occurred in just a two month period.

Gas choice provides customers with the ability to lock in their price with a fixed gas rate contract. Competitive gas suppliers offering service to BGE customers will state the rate in therms and length of the fixed rate in their contract. While the rate offered can easily be compared to the BGE gas price to compare, it is important to remember that the gas price to compare changes each month. This is immensely different than the BGE electric price to compare which sometimes is fixed for up to eight months allowing customers to easily compare the savings that the competitive rate will yield. Gas choice is as much, if not more, about providing price security as it is about instant savings.

When choosing a competitive gas plan, BGE customers should confirm that the rate is in fact a fixed gas price. Otherwise, if it is not fixed, the customer is just swiping out one variable rate for another. Below are a number of fixed gas rate offers from gas suppliers who have been licensed to sell gas supply to BGE customers through the Maryland Public Service Commission.

On December 1, 2017 Met-Ed enacted a price hike on their residential electricity customers who are on the utilities default supply service price. The former default price of $0.05995 went up to $0.06816 representing a 13.7% increase that will effect an estimated 335,769 customers who receive their power supply from Met-Ed. Fortunately for these customers there is a silver lining; current competitive Met-Ed prices are well below the new default price presenting a chance for consumers to lower and manage their electric bills.

Even though good savings are available for Met-Ed residential customers only 33% of customers in the region have selected a competitive electricity supplier in order to better manage their energy expenses. The remaining 67% remain on the utility default price. Some energy experts have hypothesized that the reason for the slow switch rate is the confusion among customers concerning what information to provide on the competitive electricity supplier enrollment form. In order to switch electricity suppliers Met-Ed requires that the customer provide their “Customer Number”, a 20 digit number found in the middle of a lot of small print on the Met-Ed bill. Numerous electricity suppliers have reported a high percentage of enrollments being rejected due to customers inputing their “Account Number” which is more easily found at the top of the electric bill.

Customers who input their “Account Number” will unfortunately have their enrollment rejected, a lesson that hundreds of customers learn each month. Requiring the Met-Ed “Customer Number” instead of the “Account Number” has added an extra layer of confusion to an already new and somewhat confusing market. However, more customers are starting to become familiar with the electricity shopping experience in Pennsylvania

Below is a sample Met-Ed electric bill with the “Customer Number” highlighted in yellow. When shopping for low Met-Ed electricity prices be sure to use the correct utility number.

First Energy Corps’ electric utility Penelec announced a large price increase in late 2018 for their customers who are the price to compare residential rate structure. The price increase went into effect on December 1, 2017 and will first become apparent to thousands of customers in January 2018 as the Penelec electric bill with the new higher price arrives in the mail. According to Pennsylvania Public Utility Commission data, the Penelec rate increase will effect close to 358,122 residential customers who are currently on the Penelec price to compare rate structure; a default price given to consumers who have not selected one of the competitive electricity suppliers available through Pennsylvania electricity choice laws.

Default rate payers will see their Penelec electric bills increase by a whopping 25.2% in January from the rate increase that occurred at the end of 2017. The price to compare, which was previously set at $0.05383 per KWh, jumped up to $0.06742 on December 1, 2017 to the surprise of most customers. Most customers experiencing the 25.2% price increase are still uninformed that they are able to shop for lower Penelec electricity prices. Current competitive electricity rates in the region are well below the Penelec price to compare rate, allowing customers the opportunity to pay less for electricity.

Penelec is responsible for delivering power to 500,870 residential customers in Pennsylvania. Only 28.5% of their residential customer pool has elected to shop the market and choose a competitive Pennsylvania electricity supplier, leaving over 358,000 customers who are not participating in electricity choice. Choosing a competitive electric supplier in this market environment is simply about switching out a high default rate for a lower competitive price resulting in electric bill savings. Many first time shoppers are surprised to learn that the quality of power is not effected by switching suppliers since all of the power comes through the same Penelec lines and wires.

The internet and electricity comparison sites have made switching electricity suppliers one of the easiest and quickest ways to save money. In under five minutes a Penelec customer can find a lower electricity price, agree to the Terms and Conditions, and start paying less for their electricity. Below are a variety of options to compare against the Penelec price to compare rate. All electricity suppliers have been vetted and our licensed by the state of Pennsylvania.

National Grid electric bills in Massachusetts are going to be substantially higher this winter for customers who have not selected a competitive supplier. According to the most recent data released by the Massachusetts Department of Public Utilities, the higher National Grid electric bills will effect just over 600,000 residential customers. The cause of the the change is a result by an adjustment in the generation supply price that National Grid charges to their customers who have not selected a competitive Massachusetts electricity supplier.

Formerly divided into two separate companies – Massachusetts Electric Company and the Nantucket Electric Company – National Grid now delivers power to just under 1 million residential customers in Massachusetts. All of their customers have the ability and right to shop for competitive electricity rates. Those that do not pay a default rate charged by National Grid. This default rate changes three or four times a year and fluctuates around the wholesale energy markets.

On November 1, 2017 the National Grid default rate in Massachusetts will rise 34.4%, and will stay in effect through April of next year. The current price of $0.09432 will jump to $0.12673. Roughly 39% of customers in the National Grid service area have selected a competitive electricity supplier, and as a result will not be effected by the November rate increase. The remaining 61% of customers can avoid the rate increase by shopping for lower electric rates from electricity suppliers who are licensed by the state of Massachusetts (see below).

Baltimore Gas & Electric (BGE) Commercial Customers looking to shop around for competitive electric rates can expect a lower electric bill upon choosing a competitive supplier. The deregulation of the electricity market in Maryland is opening the doors for competitive suppliers to offer lower rates than a BGE commercial customer can expect to receive from the Standard Offer Service. The BGE Standard Offer Service (SOS) is the alternative electricity supplier chosen by BGE that provides standard services to those who have not selected a competitive supplier. The commercial rates provided by the SOS can be set up to a year in advance so BGE customers looking to lock in a fixed rate from a competitive supplier can be shown guaranteed savings.

Current market conditions show a favorable percentage of savings for Maryland electricity commercial customers electing to select a competitive supplier. Depending on load factor and other variables a typical business can expect to save 8-20%. Fixed rate options are often the best choice for companies looking to minimize risk. Some suppliers will offer a low introductory variable rate only to increase the rate the following month. It is important to compare and review the terms and conditions carefully before selecting a competitive supplier. A good database to start comparing supplier’s rates and terms for BGE commercial customers is Electricrate.com.

Deregulating the electricity market in Maryland is proving to be a cost effective way for businesses to save money and approve their bottom line. Electricity rates have a history of being volatile so taking advantage of these low rates while market conditions are favorable may be a wise choice. The number of commercial accounts switching from the SOS to a competitive supplier is expected to grow in the coming years as businesses become more aware of energy choice.

Compare competitive offers below by selecting your utility and monthly electric bill amount. All offers are provided by electricity suppliers who have been licensed by the Maryland Public Utility Commission.

Electricity shopping activity in Chicago has picked up in recent months due to a price increase approved by the Illinois Commerce Commission for ComEd. As the largest electricity utility in the state of Illinois, ComEd provides a default electricity rate to their customers who do not select a competitive supplier. Historically, the price of the ComEd default rate has correlated strongly with electricity shopping activity in the territory. When the default increases, more customers look to shop the competitive market for low Illinois electricity rates that can save them money. Alternatively, when ComEd lowers their default price, some customers leave their competitive supplier plan and jump back on to the default plan. At its peak in March of 2014, electricity choice participating in the ComEd market reached 2.4 million of the 3.8 million customers. As a result of a consistently falling ComEd default rate, until recently, the participation number has steadily fallen to a low of only 1.25 million customers in April of 2017.

Over the last year, residents in Chicago and the rest of northern Illinois, has seen the ComEd price to compare rise steadily from $0.062 in June of 2016 to $0.06892 in July of 2017. The 11.16% year over year increase has caused some to start shopping the competitive Illinois electricity market once again. Adding fuel to the fire is the fact that there are now more competitive electricity suppliers offering service to Chicago area than ever before at rates that are deeply discounted from the default price. The combination of a high default rate and low competitive electricity rates is expected result in more active electricity shoppers in northern Illinois.

Consumer energy price comparison site Electricrate.com is urging more than 700,000 residential customers living in central Pennsylvania to take five minutes to shop and compare competitive electricity rates. These customers are facing an electricity generation rate increase of 14.17% by PP&L, the Pennsylvania electric utility who delivers power to the central part of the state in including the major cities of Harrisburg and Lancaster. The higher prices will effect customers who are on the PP&L default rate for generation electricity, meaning that they have not entered into agreements with competitive PP&L electricity suppliers.

While 43% of PP&L residential customers are purchasing power from a competitive supplier, the remaining have not taken the time to do so resulting them to pay a high default rate through the utility. Many of these customers are surprised to learn that they can easily lower their monthly PP&L electric bill by simply choosing a competitive supplier who is offering a low fixed electricity rate. Selecting a rate plan by a competitive supplier causes the contractual rate to replace the PP&L default rate. When a customer chooses a competitive rate plan that is lower than the default plan, the PP&L electric bill is lowered as a result. ElectricRate.com currently has nine rate plans that are offering double digit percentage savings against the default price.

The price jump went into effect on June 1, 2017 and will start to show up for the first time on the PP&L electric bill in late July and early August. Customers can avoid the price increase, and even bring the price they pay for power below to what PP&L was charging in May by comparing PP&L competitive electricity prices.

Residential PSEG electricity customers who are on the basic generation service rate are getting hit with a summer rate increase. The basic generation service rate is the price for electricity power supply that customers pay who have not chosen to buy their power from a competitive supplier. As an energy choice state New Jersey residents have the ability to shop the market for competitive electricity rates the same way they can shop for phone service or television content providers. Customers who do not participate in the market by shopping and buying their power from a competitive supplier pay the basic generation service rate offered by PSEG.

PSEG updates their basic generation service rates twice a year on June 1 and October 1. The PSEG basic generation service rate, which serves as a default electricity price, is determined through three auctions that take place in the previous three years of the current basic generation service rate. Competitive suppliers are often able to offer more favorable pricing than the default price, offering customer an opportunity to pay less money on their PSEG electric bill. The new PSEG basic generation service price will have residential customers paying a maximum of $0.131959 per KWH for customers who consumer above 600 KWh in a month. Meanwhile, competitive New Jersey electricity suppliers are offering fixed rates in the 10 and 11 cent range.

As of April 2017 PSEG has reported that only 12% of their residential customers have switched off of the default basic generation service price and onto a competitive plan. The new summer rate increase for 2017 could provide an incentive for the more than 1.6 million residential customers, currently on the default plan, to shop for the first time. Statewide New Jersey energy choice has resulted in 505,111 residential shoppers and 151,805 commercial and industrial customers. Despite the low residential switch percentage competitive New Jersey suppliers remain optimistic at their chances of acquiring new customers. PSEG customers have more than a dozen electricity companies to purchase their power supply from, many of which are offering fixed rates below the default price. Below are rates offered by suppliers who are licensed by the New Jersey Board of Public Utilities.

Residential customers in the PPL service area who are not receiving their power supply from a competitive supplier will be hit with a large price hike on June 1, 2017. The increase will manifest on the price to compare rate which encompasses the generation and transmission components of the bill. Customers who have entered into electricity contracts with competitive Pennsylvania electricity suppliers will not be effected by the change.

PPL Energy is required by law, through the Pennsylvania Energy Choice and Competition Act, to provide default service for the generation and transmission charges on the PPL electric bill for those customers who do not shop for competitive rates. The default price, often referred to as the ‘Price to Compare’ is calculated through an auction process whereby competitive suppliers bid to service a portion of the default paying customers. For the past two years, and foreseeable future, PPL enacts a change to the price to compare rate twice a year. Prior to that the change was made every three months.

Over the last six months default paying customers have paid a rate of $0.07439 for the price to compare rate. On June 1 that price will rise to $0.08493, representing a 14.17% increase on the bill for PPL customers who continue on the default rate structure. This will be the first price increase since March 1, 2015. The last four price changes have been rate decreases. Despite the downward price trend over the last two years, customers were still able to find significant savings off of the price to compare rate in the competitive market; licensed competitive suppliers were able to offer fixed rates that were lower than the PPL default rate. Customers who have become used to seeing a decreasing electric bill might be surprised when they get their PPL electric bills in July showing a large increase.

Though the competitive market has presented savings to customers over the last several years, the upcoming price hike will present an even greater opportunity for customers to save money through Pennsylvania electricity choice. As of April 2017 PPL reported that 57% of their over 1.2 million residential customers were still on the default price to compare rate. These customers have the opportunity to avoid the upcoming rate increase and even lower their existing rate by taking the time to shop the market for competitive offers. In addition, by locking in a long term fixed rate customers may be further protecting themselves from a future PPL rate increase that could occur in the next rate change happens later this year in December.

While energy choice laws have been in effect for almost a decade in the New York City area, an alarming number of consumers are still unaware of their option to shop for competitive electricity and natural gas rates. The majority of citizens are still under the belief that they have to pay the energy rates offered by Con Edison, the local utility company. In truth, New York City consumers only have to pay the regulated delivery charges for energy to Con Edison, the supply component of their energy bills is open to customer choice. New York energy choice laws changed Con Edison from being the sole energy company in the New York City area, responsible for the delivery and generation supply of the energy, to only being responsible for the delivery and maintenance of the energy lines and wires.

On top of their delivery duties, Con Edison also provides a default rate for electricity supply to customers who do not choose to initiate in electricity shopping activity. Con Edison customers can find attractive rate plans offered by competitive electricity companies that will replace the default rate. The competitive electricity companies in New York are referred to as ESCOs, which stands for energy supply companies. ESCOs can offer customers rate plans that differentiate from the “one size fits all” default plan offered by Con Edison.

The Con Edison default electricity rate changes each month as it is variable and tied to market fluctuations. This volatility does not allow for ESCOs to market exact savings with their rate offerings as they are able to do in other state markets. In the neighboring states of New Jersey an Pennsylvania, utilities have default rates that last anywhere from three to eight months at a time. Electricity companies there can offer rates below the default rates and consumers can calculate exact savings. While this isn’t the exact case in New York, consumers can still lock in low Con Edison rates that are fixed and will offer price certainty during the term of the contract.

In addition to price, Con Edison customers can shop for plans that offer renewable energy as the source of power. ESCOs can purchase power generated from wind farms and sell it to retail customers so that there money is supporting renewable resources.

Consumers have a variety of options when shopping for competitive electricity in New York City. Getting this idea out has been difficult as people have become used to accepting whatever rate Con Edison imposes. The last migration data in New York was released at the end of 2015 which showed that only 23.6% of residential customers where purchasing their power from a competitive ESCO. Below are competitive offers from ESCOs who have been approved to sell power in the Con Edison service area.